Vietnam aviation firm to cut airfare for Ca Mau, Con Dao services

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In an explicit gesture to resuscitate the ailing tourism sector, Prime Minister Nguyen Tan Dung has signed off on visa waivers for five more nationalities, a move highly welcomed by industry insiders.

Under a decision dated June 17, Vietnam will offer visa exemptions for single-entry visits of up to 15 days for visitors from Germany, France, the UK, Italy, and Spain starting this July, Nguyen Van Tuan, general director of the Vietnam National Administration of Tourism, said at an international tourism convention that opened Thursday in the central city of Da Nang.
“This is certainly very good news for Vietnam’s tourism industry,” Tuan said at the convention. “This is one of the new policies by the Vietnamese government aimed at creating an environment conducive to the development of the sector.”

At a recent meeting between PM Nguyen Tan Dung and the Vietnam Business Forum (VBF) — a consortium of international and local business associations and chambers of commerce — members of the Tourism Working Group said issuing visas with a fee is a “short-sighted” policy that hinders tourism development.

The warning came at a time the number of foreign tourists to Vietnam through May dropped 13 percent from the same period last year to about 3.3 million.

‘More to follow’

Tourists from India, Canada, Australia and New Zealand may have to wait a little longer

Insiders are gung-ho about the latest development.
“We hope this is just the first step and there will be more to follow,” Kenneth Atkinson, chairman of the Tourism Working Group, told Thanh Nien News over the phone.

Currently, citizens of ASEAN (Association of Southeast Asian Nations) member countries do not need a visa to enter Vietnam.
The country also waives visa for single-entry visits of up to 15 days for Danish, Finnish, Japanese, Norwegian, Russian, South Korean, Belarusian, and Swedish nationals starting this year until 2019.

Tourism industry insiders in Vietnam have pushed for the easing of visa requirements, arguing that the country will benefit much more with an increase in foreign arrivals.

They have proposed that PM Dung add nine more countries — France, Italy, Germany, Spain, the UK, India, Canada, Australia and New Zealand — to the list.

Although India, Canada, Australia and New Zealand were not included this time, “five countries is better than nothing,” Atkinson said.

Tourism contributes about 6 percent of Vietnam’s gross domestic product. The country is looking to notch up economic growth of above 6 percent this year.

Tourism contributes about 6 percent of Vietnam’s gross domestic product. The country is looking to notch up economic growth of above 6 percent this year.

Insiders had expressed concern that the current arrival decline would not be able to talk the authorities concerned into relaxing visa regulations. The matter was clearly very complex as it involved several different ministries whose interests were not always aligned, they said.

But given the latest move, “obviously different ministries are starting to realize the gains of visa waivers,” Atkinson said.
“One of my mentors in Vietnam said many years ago: ‘The only time you get decision is when there is crisis’,” he said.

The Ha Noi-Quy Nhon route will provide daily service on the Airbus A320 aircraft. The one-hour and 35 minutes flight departs from Ha Noi at 10:25 and from Quy Nhon at 12:35pm.

Tickets for the new route will be on sale from January 26 at the website www.vietjetair.com and ticket offices across the country.

The Ha Noi-Quy Nhon route is expected to tap growing demand for air travel not just in Quy Nhon, but throughout Binh Dinh Province and neighboring provinces.

With a fleet of 20 Airbus A320 aircraft, Vietjet now operates 150 flights per day, transporting eight million passengers in total so far. The airline is covering 28 local and international routes across the country and the region to Singapore, Thailand, Republic of Korea, Taiwan, and Cambodia.

In accordance with their business development plan, Vietjet will receive 6-12 Airbus aircraft every year. The airline is considering ordering the world leading aircraft manufacturers new wide-body aircraft in order to launch international routes to Europe and expand the flight network across the Asia Pacific region.

The Vietnam Air Services Co. (VASCO) will slash airfares for its services to an island and a province in the south as of mid-January, the company announced Saturday.

Starting January 15, a discount of 30 percent will be applied on the Ho Chi Minh City – Con Dao service, whereas airfares for the Ho Chi Minh City – Ca Mau route will be cut by 15 percent, VASCO said on its website.

Con Dao Island is an archipelago, and a district, of the southern province of Ba Ria – Vung Tau. The island is around 375km from Ho Chi Minh City.

The price cuts are only eligible for passengers who have permanent residence in Con Dao and Ca Mau, or military officers and public servants who work there, the company noted.

VASCO has recently capped ticket prices for the two services at VND1.6 million (US$75) per turn, following a directive by Minister of Transport Dinh La Thang to reduce airfares for routes to the distant, remote, island and border areas to boost socio-economic development there.

The firm had the best on-time performance in December 2014, mostly because it only operated 309 flights that month.

Only eight of the flights were delayed, and six canceled, representing a rate of 2.6 percent and 0.6 percent, respectively, according to a monthly report on flight cancelations and delays released Saturday by the Civil Aviation Authority of Vietnam.

VASCO was founded in 1987 as the Air Service Enterprise, initially tasked with offering aerial photography and geological survey flights, according to its website.

In 1996 it became a member of state-owned Vietnam Airlines Corporation, which runs national flag carrier Vietnam Airlines.

As of May 2004, VASCO officially entered the passenger transport industry, and has so far expanded its routes to Ca Mau, Con Dao, Tuy Hoa, Chu Lai, and Can Tho.

The company said it “plays a role as a commuter airline for Vietnam Airlines,” besides being a multi-functioning airline that carries out operation and maintenance service for private aircraft.

The budget airline VietJet Air recently announced that it will launch a special promotion, offering 3,000 ‘zero fare’ airfares (excluding tax and other additional fees) for tourists on the Ho Chi Minh City – Taipei (China) route.

The programme applies to passengers who book tickets via VietJet Air’s official website www.vietjetair.com, smartphone version m.vietjetair.com, and www.facebook.com/vietjetairvietnam from October 21to 22, 2014 for flights on the Ho Chi Minh City – Taipei (China) route from December 12, 2014 to March 27, 2015 (excluding holidays).

The passengers are requested to use one of the following cards: Visa Card, Master Card, JCB, American Express and ATM issued by 24 large banks.

The Ho Chi Minh City will operate five return flights per week, on Monday, Tuesday, Wednesday, Friday and Sunday, with a capacity of 1,800 passengers per week. The flights are scheduled depart from Ho Chi Minh City at 2:30 pm and from Taipei at 8pm.

VietJet Air is currently the second biggest airline in Viet Nam in terms of flight numbers. It was recently named the friendliest airline and best airline for promotional deals in Viet Nam by the Trust & Consume 2012 market research report in Ho Chi Minh City.